THOUGTS ABOUT HEX AFTER BIG PAY DAY
INTRODUCTION
First of all, I have to say this is just an opinion and is in no way meant as an investment advice. Due to many accusations that HEX is a scam, I tried to research this project in December 2019 and collected my thoughts in an article THOUGHTS ABOUT HEX.
There were quite a few developments in HEX since then (the HEX community has grown, the STAKER APP is now available on mobile devices etc.), but I noticed that there is very little information about HEX in the mainstream media, despite the fact that the price of HEX also did 233x in 300 days (just to clarify this was not 233% - it was 233x.
Maybe is just me, but I don’t see a lot of projects where 1.000 USD, would grow to 233.000 USD in less than a year. Why does HEX not receive significant mainstream media coverage is beyond me.
This media silence in 2020 is quite surprising, especially considering:
- that the owners of over 253.495 BTC decided to free claim HEX (this amount of BTC is at the time of writing worth over 3.477.365.826,55 USD),
- that over 2.121.000 of Ethereum was sent to Adoption amplifier (this amount of ETH is at the time of writing worth over 822.467.000 USD).
This numbers are impressive, regardless what one thinks of the HEX project or its founder (Richard J. Schueler - AKA Richard Heart). If this numbers would be connected to a Silicon Valley project, mainstream media would be all over it.
Even more surprising is the lack of information regarding the fact that over 56.530.306.011 HEX (at the time of writing worth over 565.303.060 USD) is being staked and regarding the fact that over 1 billion 1.000.000.000 HEX will be awarded to the stakers on the BIG PAY DAY (18.11.2020). This will probably dwarf the UNISWAP token giveaway that was done in September.
Therefore, I will be trying to provide some information about the BIG PAY DAY and present my opinion to those who were thus far not aware that this project even existed.
WHAT IS HEX?
HEX is a crypto asset similar to Bitcoin or Ethereum. The smallest unit of HEX is called "Heart".
HEX is designed to be a store of value on the blockchain. HEX would like to replace the current Certificate of Deposit product offered by banks, with important improvements of this product.
HEX is:
- Open Source
- Trustless
- Store of Value
- Censorship Resistant
- Permissionless
- Immutable.
HEX uses the Ethereum network for the transaction layer (sending and receiving HEX tokens, as well as interacting with the HEX smart contract), whilst the consensus code and staking mechanism is contained in the HEX smart contract.
HEX is created (minted) and in some cases destroyed (burned), by the individual user who uses the HEX smart contract and:
a) “FreeClaims”. This can be done, if the user owned BTC on the proves ownership of bitcoin balance during snapshot 02.12.2020 (00:00 UTC) by signing a message with the private key of that particular bitcoin address with the balance. The mintable amount is lowered every week by 2%, so after 50 weeks this rule no longer mints any HEX tokens.
b) “Transforms” Ethereum in “Adoption Amplifier” / “Transform lobby” available at www.go.hex.com. This can be done only for first 351 days (ends on 19.11.2020).
c) Uses “Refferal“ link for Free Claims or Transform lobby. This can be done only for first 351 days (ends on 19.11.2020).
d) “Stakes“ HEX. The HEX smart contract rewards stakers for staking (there are two important rules in this regard - longer pays better & bigger pays better), but also penalizes stakers for ending their stake early or late.
HEX COMMUNITY
HEX community has grown since December 2019. Richard Heart was (and still is) the biggest promoter of HEX, but there are many other community members have started HEX crypto you tube channels, dive channels etc. (e.g. Crypto Coffee, HEXOLOGIST, Conrad ZEN, Discourse Syndicate, Cabana Crypto, Crypto Hommie, Hex Genuis, Hodl dog ).
The HEX community members are affectionately called HEXICANS and they differentiate between leagues they are in, based on themselves with the amount of HEX staked (e.g. shells, shrimps, octopuses, squids dolphins, sharks whales, poseidons).
There are quite a few web pages that give important information regarding the HEX project:
HEX-DATA.COM!
HEXINFO.IO
HEX.LIVE
HEX.VISION
HEXVIZ.XYZ
This provides a higher level of transparency, due to large amount of data that is available regarding the project.
In my opinion the best addition to the HEX community is the STAKER APP (It brings fun into the project). It is extremely useful and allows the user to monitor all its stakes and ongoing sales, purchases and stakes made by other users. It is available for IOS and Android.
NEW USERS
HEX users started to use UNISWAP before it was popular. Most of them therefore received at least 400 free UNI tokens (worth between 1200 USD and 2800 USD, depending when they were exchanged).
The amount of new users is growing, as more and more stakes are opened. New users need an Ethereum wallet (e.g. METAMASK) and are able to get HEX through:
- DECENTRAIZED EXCHANGES (such as ethhex.com, UNISWAP, Honeyswap, Mooniswap, Unitrade (allows for limit orders),
- CREDIT CARD (through services such as TRANSAK, Indacoin),
- CENTRAIZED EXCHANGES (such as Yobit, HitBTC, BitMart, HotBit, CoinSuper etc.).
“Transform lobby” is only available until 19.11.2020 at www.go.hex.com.
WHAT WILL HAPPEN AFTER THE BIG PAY DAY?
Two most important questions for all of the HEX token holders at the moment are:
- what will happen to the price of HEX after BPD
and - will HEX be able to withstand all of the attacks from the Crypto community.
No one knows what will happen to the price of HEX after BPD (we can only guess). The price can go up, down or sideways.
After the BPD, the stakers will be awarded their HEX staking rewards and when they end their stakes they will have to decide, if they want to stake for longer (in this case they will receive additional HEX), or if they want to sell HEX or if they just want to HODL for the time being. If all users who have stakes ending on or after BPD, would decide to immediately sell all (or most) of their HEX, the price would go down.
But it is very important to emphasize that not all stakes end on BPD. People who stake longer will be awarded their HEX when their stake ends and it is worth mentioning that:
- the Median Stake Duration at the time of writing this is 854 days (aprx. 2,3 years),
- the Average Stake Duration (Weighted) at the time of writing this is 1,633 days (aprx. 4,4 years),
- the Total Staked number of HEX at the time of writing this is 56.6B (12.6%).
It is also worth mentioning that no one knows much money will be on the sidelines, waiting for potential dips. There will not be any HEX available through the “Transform lobby” which now daily receives between 15.000 and 20.000 ETH. The liquidity on exchanges will also be a large factor that could affect the price. So, as you can see there is no way to be certain where the price of HEX will go. For those interested Crypto coffee made an informative video about this topic.
Regarding the attacks on HEX from the Crypto community, it is my opinion that they will continue in the future. HEX is in a very competitive space, where this kind of attacks are considered normal. These attacks usually gain strength during the price dips, which are quite often in Crypto world. In my opinion, as long as Richard Heart and the rest of HEXICANS are sticking to this project, there is no fear that this project would end anytime soon. As Mahatma Gandhi once said: First they ignore you, then they laugh at you, then they fight you, then you win.
So, let see what will happen.
If you find any mistakes, please let me know. If you find this in any way beneficial, all donations are welcomed:
BTC address 17bziXc3hrwyqMZAxm9ipwNFk1S6GhdrBJ
ETH address: 0xD5a2C93861b8FAE73F89C779Df044F84E69e0d60